NEW SERVICE LETS INDEPENDENT B/Ds
CUT COSTS AND IMPROVE SERVICES
IRVINE, Calif., May 16, 2001 – Millions of Americans turn to independent broker-dealers to provide the kind of personalized investment service they have relied on for decades.
But those independent firms, mainstays on Main Streets across America, are facing unprecedented pressures. With rapid changes in the financial services industry and the technology necessary to support their businesses, independent firms are facing increasing costs to provide the kind of quality service their clients expect.
Now, however, those independent firms have a way to access improved technology and other services at lower rates.
BD Advantage, an Irvine-based business founded by brokerage industry veterans, offers independent broker-dealers access to a variety of affordable services, including the latest technology for clearing their trades, getting quotes and providing online trading – all at lower cost.
“Independent firms can cut their costs by 30 percent or more and, at the same time, access state-of-the-art technology,” said Lance Hicks, President of BD Advantage. “By utilizing our clearing relationships, broker-dealers can immediately obtain significant savings. And broker-dealers who couldn’t afford to create their own online trading system can access this technology through BD Advantage.”
Mr. Hicks said BD Advantage uses its relationships with more than 100 broker-dealers nationwide to negotiate the kind of group rates usually reserved for larger brokerage firms. Each of the broker-dealers remains an independent company and has a direct relationship with the service provider, while tapping into the discounts available through BD Advantage.
“Independent broker-dealers once had to choose: Either get swallowed up by a large competitor or pay high prices because you don’t have the clout of a large player,” Mr. Hicks said. “With BD Advantage, the broker-dealers keep their independence while accessing technology and other services at much more competitive
prices."
"With the help of BD Advantage, we were able to save a lot from cheaper ticket charges, option contracts and the unlimited assistance from the BD Advantage team,” said Jenny Ta, president and CEO of Vantage Investments of Huntington Beach, Calif. “I am thankful to be a member of BD Advantage.”
BD Advantage was launched in 2000 to meet the needs of independent broker-dealers and give them the opportunity to enhance services to clients without breaking their budgets.
“Each of these brokerage firms has a history of excellent service in their community and they are anxious to provide the most comprehensive service possible,” Mr. Hicks said. “Each service we provide helps them continue to be competitive and maintain that tradition.”
Mr. Hicks said many broker-dealers are not ready or able to make the initial investment necessary to offer online trading. However, with BD Advantage, they can do it without the huge up-front investment.
“Though many clients may not be interested in online trading, those clients who want to do it can now keep their account at their local broker-dealer instead of going to a large competitor,” he said.
About BD Advantage
BD Advantage was launched in June 2000 to meet the needs of the 2,500 independent, regional brokerage firms around the country. By pooling its members together and increasing their buying clout, BD Advantage has been able to negotiate cost-saving rates for such things as clearing, professional support services, online trading and compliance. The company also develops proprietary tools to facilitate these services. For more information or to join BD Advantage, visit our website at
www.bdadvantage.com |